This feature is a part of Affiliate Mode Options. Click here to see all Affiliate Mode Options features.
The product image can be easily embedded from an external source instead of uploaded to the media library. You can add the product image as an HTML iframe. Go to the product edit screen and insert your HTML embed code:
Once you insert the iframe and save the product the iframe content will show up instead of the default image on the product page and product listing.
If you also select the product image from the media library (as usual), the iframe will show up next to it on the product page.